Navigating the Storm: Surviving the 2008 Recession
Background The 2008 recession, also known as the Great Recession, was a severe global economic downturn that began in late 2007 and lasted until 2009. It was caused by a combination of factors, including a housing market bubble, lax lending standards, and a lack of regulation in the financial sector. The bubble burst in 2008 when subprime mortgages, which were given to people with low credit scores, began defaulting at an alarming rate. This caused a domino effect, with banks and other financial institutions losing billions of dollars, leading to a credit crunch and a severe contraction of the economy. The recession had a devastating impact on individuals, businesses, and governments around the world. Millions of people lost their jobs and homes, and many businesses went bankrupt. Governments had to step in and bail out banks and other financial institutions to prevent a complete collapse of the global economy. The recession also led to a significant increase in government debt as